Booking/eTraveli and One-Stop Shopping

Based on the limited public information to date, there has been significant speculation about the reasons for the EC’s prohibition of the Booking/eTraveli merger. In this article, we draw on theoretical work in the economic literature to consider what factors might be important to consider, particularly the scale of any shopping costs (costs that consumer incur from visiting multiple different firms) and the risks of foreclosure or increased barriers to entry. In this context, the scale of s